In a push to reduce carbon emissions, governments around the world have introduced incentives for automakers to develop electric vehicles in return for credits. As Tesla sells electric cars, it receives these credits for free and can sell them at a huge profit to other automakers who can’t meet regulatory requirements. Since Tesla receives all these regulatory credits for free, it can essentially sell them for a 100% profit. This has been behind its recent profitable quarters. In Tesla`s fourth quarter 2020 earnings call, Tesla CEO Zachary Kirkhorn was asked for his outlook on regulatory credit sales in 2021. But he said it was difficult to predict. Some Tesla customers say the company left them stressed and stranded, waiting months to be paid back for returned cars or cancelled reservations.
When it comes to partner’s development, it wouldn’t be an understatement that JLP is one of the best in retail’s industry, the partnership currently spends 56% more than similar organisations on partner development which is enshrined in Constitution (Rule No. 56) to encourage partners to fulfil their full potential and increase their career satisfaction.
The ‘Horizons’ training programme allows partners to choose their own development pathways and partners are allowed to work in any charity of their choice for six months fully paid (JLP, 2016). This example clearly shows JLP managed to blend beautifully both ‘best fit’ and ‘best practice’ approaches together for creating HCA (Pfeffer, 1998).
John Lewis has a very different approach when it comes to reward management system which is rare from the point of view that partners have involvement in formulating it. Partners (line managers and non-management staff) have the opportunity to come forward and put their ideas by engaging and looking at performance measures, pay-banding and appraisal system and have a real impact that how their performance should be appraised. This approach is very much in aligning with the organisational culture and partnership behaviour and unique way (‘best fit’) to motive partners and create HCA (Hutchinson and Purcell, 2007).
John Lewis total reward model offers intrinsic values (base pay, profit share, pension, flexible benefits) and also extrinsic values (career development, training, learning, employee voice and work design) which contribute significantly towards its partner’s high level of engagement, performance and job satisfaction as explained by Herzberg’s two factor theory of motivation (Herzberg, 1986).
John Lewis motivates their partners by treating them individuals rather than collectively because JLP realise that the social needs of one partner can be different than another partner, hence, partners who performance better are giving more challenging task/responsibility but this also reflects on their financial reward. Partners are allowed to take charge of their own goals and accomplish them (Locke, 1968). Nevertheless, this approach underestimates the importance of teamwork.
The unique co-ownership structure at JLP allows all partners to share its success. For the past 10 y
